Sterling, International Monetary Reform and Britain's Applications to Join the European Economic Community in the 1960s

Abstract

Throughout the 1960s the international monetary system crumbled in a gradual process which was punctuated by a series of crises. The international community proposed, debated and ultimately procrastinated over major reforms, and opted instead for ad hoc ‘plumbing’ solutions such as the Gold Pool and bilateral currency swaps. While this turmoil unfolded, Britain made repeated attempts to join the European Economic Community. This article shows that while monetary issues were not as often publicly discussed, they were a crucial factor in the negotiations for British membership. It also aims to bring together the discussions on the reform of the international monetary system in the 1960s with those on the enlargement of the EC.